India Investigates Coal Allocations

By

Saurabh Chaturvedi and

R. Jai Krishna

Updated Sept. 5, 2012 12:20 a.m. ET

NEW DELHI—India’s federal investigation agency began a criminal probe into alleged irregularities in the allocation of coal blocks, a development that is likely to further pressure the Congress party-led government of Prime Minister Manmohan Singh.

The Central Bureau of Investigation formally began this week to look into allegations that five companies fraudulently obtained the coal blocks. The companies obtained the blocks during an...